{"id":1736,"date":"2025-10-01T03:24:58","date_gmt":"2025-10-01T03:24:58","guid":{"rendered":"https:\/\/www.bearsavings.com\/blog\/?p=1736"},"modified":"2025-10-01T03:25:01","modified_gmt":"2025-10-01T03:25:01","slug":"do-us-government-shutdowns-hurt-the-stock-market","status":"publish","type":"post","link":"https:\/\/www.bearsavings.com\/blog\/do-us-government-shutdowns-hurt-the-stock-market\/","title":{"rendered":"Do U.S. Government Shutdowns Hurt the Stock Market?"},"content":{"rendered":"
<\/div>\n

A U.S. government shutdown occurs when Congress can\u2019t pass or the President won\u2019t sign appropriations bills needed to fund the government. The last one occurred from December 2018 to January 2019, and one is looming in late 2021.<\/p>\n\n\n\n

The shutdowns are always major news events, with countdown clocks on the news, finger-pointing between Democrats and Republicans, and concerns about the impact on public services and employees.<\/p>\n\n\n\n

As an investor, you may be wondering what a shutdown means for your portfolio. The answer is, it depends.<\/p>\n\n\n\n

On one hand, shutdowns do create headlines and a certain amount of short-term market volatility. They reflect a dysfunctional political climate in Washington, which is not great for market sentiment.<\/p>\n\n\n\n

But if you look at the long-term performance of the stock market during shutdowns, you\u2019ll see a very different story. In fact, history suggests there is usually no impact\u2014or even a positive impact\u2014on the stock market.<\/p>\n\n\n\n

\n\n\n\n
\n
\n

Table of Contents<\/p>\nToggle<\/span><\/path><\/svg><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n